InfoSAWIT, PALEMBANG – The Fresh Fruit Bunch (FFB) Pricing Committee of South Sumatra Province has set the benchmark price for 10–20-year-old oil palm trees at Rp3,723.87 per kilogram for the second pricing period of June 2026, covering June 16–30.
According to information obtained by InfoSAWIT from the South Sumatra Plantation Agency, FFB prices for younger palms were also established across various age categories.
For three-year-old palms, the price was set at Rp3,139.48/kg, while four-year-old palms were valued at Rp3,236.90/kg. FFB from five-year-old palms was priced at Rp3,380.97/kg, six-year-old palms at Rp3,420.53/kg, and seven-year-old palms at Rp3,419.52/kg. Eight-year-old palms were set at Rp3,534.74/kg, while nine-year-old palms reached Rp3,601.32/kg.
The highest benchmark price remained in the productive 10–20-year age category at Rp3,723.87/kg. Meanwhile, palms aged 21 years were priced at Rp3,712.24/kg, 22 years at Rp3,718.55/kg, and 23 years at Rp3,692.39/kg. Older plantations generally recorded lower prices, reflecting declining productivity.
For palms aged 24 years, the price was set at Rp3,587.13/kg, while 25-year-old palms reached Rp3,598.49/kg. Prices then gradually declined to Rp3,533.42/kg for 26-year-old palms, Rp3,479.08/kg for 27-year-old palms, Rp3,418.29/kg for 28-year-old palms, Rp3,351.70/kg for 29-year-old palms, and Rp3,280.05/kg for 30-year-old plantations.
The committee also established the provincial reference prices for palm oil products used in the pricing formula. Crude Palm Oil (CPO) was valued at Rp14,946.47/kg, while palm kernel prices were set at Rp12,225.52/kg. Shell prices were recorded at Rp17.94/kg, with the K-index determined at 93.00%.
The FFB pricing mechanism is designed to provide a reference price for transactions between smallholders and palm oil mills across South Sumatra. However, actual prices at the farm level may vary depending on location, quality, transportation costs, and commercial agreements between growers and buyers. (T2)
Disclaimer: This report is intended solely as information regarding official FFB prices established by the provincial plantation authority. Actual market prices may differ in the field.
